Ford has said it is developing range-extender EVs to make electrified motoring more affordable in larger segments, having suffered a global dip in EV sales last year.
Ford CEO Jim Farley confirmed that the company is developing both SUV and pick-up platforms designed for range-extender EVs (RExs), without giving a date for launch.
REx vehicles such as the LEVC TX differ from plug-in hybrids in that the combustion engine is not connected to the wheels but is linked to a generator that drives the electric motor or recharges the battery.
Farley referenced interviews with owners of RExs built by Li Auto, which has carved out a substantial market in the premium SUV arena in China based on the technology. “We were really impressed that the customers thought of these vehicles as EVs,” Farley said on the company’s earnings call on 5 February. “They do not think of them as hybrids or plug-in hybrids. They use 95% of the miles as electric and they plug them in every night.”
Sales of Ford’s EVs fell 9% globally in 2024 to 105,000 units despite the launch of the Explorer and Capri in Europe last year, company figures show.
Meanwhile, revenue generated by Ford’s Model E division, which is responsible for EVs, fell 35% because it was forced offer discounts, especially for the Mustang Mach-E SUV and the F-150 Lightning pick-up in the US market.
Model E lost $5.08 billion (£4.1bn) last year as it spent more than it earned developing new models.
Farley admitted that retail customers of larger vehicles in the US were still reluctant to go electric, even before the election of EV-sceptic Donald Trump as president. “The economics are unresolvable,” Farley said. “These vehicles have worse aerodynamics and they’re very heavy, which means very large and expensive batteries.”
A shift to RExs in these segments would help drive down prices, Farley argued. “For the customer, you’re able to buy an electric vehicle that’s fully comparable to an ICE vehicle in terms of cost,” he said. “Because there’s no transmission, no gears, no driveline, there’s no duplicate axles, there’s no duplicate powertrain, the incremental investment of fitting that combustion engine is very minimal to the customer.”
